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How EY can Help
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EY can harness the transformational power of GenAI to help create value for better returns for PE firms and their portfolio companies. Learn more.
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Balancing risks and rewards
When speaking with clients, I detect a growing sense of urgency to understand how GenAI is reshaping the investment landscape, and it is complex. It’s not only about what generative AI can do – the potential for enhancing value is enormous – but also the associated risks and challenges it creates within their operations and portfolio companies.
PE firms recognize the need for a strategy that serves two purposes: a safety net that defends investments against disruption and a plan that drives revenue, efficiency and overall portfolio performance.
I believe that this balanced approach is key. So, the conversations we’re having circle around three pivotal questions:
- How will GenAI disrupt sectors, business models and functions?
- What risks and opportunities do these disruptions create for new investments and existing portfolios?
- How should firms pivot in response?